India’s seed sector adapts to global pressures and policy gaps
India’s seed supply chain is entering a vulnerable phase, as global geopolitical tensions begin to expose critical gaps in its functioning. What appears to be a brief disruption in fuel or logistics can, in reality, lead to severe and disproportionate losses in a sector that operates within narrow, time-sensitive windows.
In an exclusive conversation with The Pioneer, Dr Paresh Verma, Director General of the Federation of Seed Industry of India (FSII), described how deeply the country’s seed supply chain is tied to external factors such as fuel availability and geopolitical tensions. Seed processing, particularly for crops like maize, is highly time-sensitive and dependent on a consistent energy supply.
“Seeds are harvested at high moisture levels and must be dried within a very short window. Any delay in this process can damage the entire stock,” said Dr Verma and this drying process relies heavily on fuels like LPG and PNG, making the sector vulnerable to supply disruptions.
Recent global fuel spikes highlighted this problem, as at first, Government fuel quotas were based on ‘average’ monthly use but that didn’t work for the seed industry, as it works on a seasonal basis sometimes. “Our fuel use is almost zero in some months but huge during harvest. Average-based allocations don’t cover our peak needs,” he explained.
After the industry raised these concerns, the Government intervened to fix the supply. While this saved the current stock, Dr Verma said it shows why better coordination is needed.
Beyond supply disruptions, rising costs are adding pressures as well. Packaging materials, derived from petroleum products, have seen price increases of 10 to 15 per cent, while freight costs are expected to rise alongside fuel prices. These factors, Dr Verma said, will inevitably affect the overall cost structure of the industry.
On asking him about the challenges that are further compounded by policy and regulatory gaps, he said, “India’s existing seed law, enacted in 1966, does not reflect the realities of a sector now dominated by private companies, who supply nearly 75 per cent of the market”. Despite this, private companies continue to face a fragmented regulatory landscape, with different states imposing varying rules on licensing, testing and distribution. “The same product may be subject to different requirements across states, which affects efficiency and ease of doing business,” Dr Verma said, reiterating the need for a uniform regulatory framework.
He also mentioned, “Clarity on approval timelines would strengthen confidence for advanced research,” adding that public perception continues to play a major role in the pace of policy evolution.
Dr Verma concluded that “Ensuring the stability of the seed industry requires a policy environment that evolves as fast as the sector itself. It is the only way to safeguard India’s food security.”
